All analyst calls maintained BUY ratings on Axis REIT, with target prices ranging from RM2.16 to RM2.42 as RHB Research, HLIB and CIMB Securities highlighted the acquisition of a City-Link Express distribution centre in Selangor as yield-accretive, earnings supportive and aligned with its industrial expansion strategy.
RHB Research kept its BUY rating with a target price of RM2.42, saying Axis REIT’s second acquisition of the year, a RM128 million sale-and-leaseback deal for a Bandar Saujana Putra distribution centre, is mildly positive and consistent with its strategy to build recurring income from industrial assets. It noted the property offers a 6.2% gross yield with long-term income visibility under a 15-year lease.
HLIB also maintained BUY with a slightly raised target price of RM2.16, describing the deal as earnings accretive and well-positioned in a key Klang Valley logistics corridor. It said the asset is fully occupied under a single tenancy leaseback structure, with stable rental income and manageable gearing impact despite being fully debt funded.
CIMB Securities reiterated its BUY call with a target price of RM2.31, highlighting that the acquisition strengthens Axis REIT’s exposure to resilient logistics assets while supporting steady distribution growth. It added that the asset’s long lease profile and contractual rental step-ups reduce vacancy risk and improve earnings visibility.
Across all research houses, analysts noted that the acquisition will be completed by 4Q26 and is expected to contribute from FY27 onwards, generating around RM7.9 million in annual rental income. They added that while gearing is expected to rise slightly, it remains within comfortable levels with sufficient debt headroom for further acquisitions.
The stock price was flat at RM2.01 as of 11.02 am.
